The claims are to be underlain by at least three uranium deposits that may be conducive for In-situ Recovery (ISR) mining.
Millrock president & CEO Gregory Beischer commented that ISR mining is the lowest cost method by which to produce uranium and the company decided to act on this target of opportunity.
"We were able to acquire the asset for very low cost – essentially the cost of claim staking," Beischer added.
"Uranium prices are presently low, but we anticipate this will change, potentially making the Red Basin project a valuable and profitable acquisition."
The company’s exploration plan includes acquisition of past data, digitizing drill logs, confirmation drilling, resource estimation, drill for deposit extension and commence hydrology and beneficiation studies.
The uranium mineralization primarily occurs in the lower contact of the Baca Formation sandstone in association with redox boundaries and organic material, in the basin.
Of 103 claims of the property, 71 are wholly-owned by Millrock and 32 are the subject of an option to purchase agreement where Millrock buy 100% interest for $1.3m and expending $1m on exploration over a ten-year period.
